As we approach the end of 2016, it's worth remembering that the worst performers this year are often the best performers next year, and vice-verse. That was the case from 2015 to 2016 for Energy stocks and Health Care. Here's a look at how 2016 is shaping up, and what might deliver the best and worst performance in 2017.

Sector and Industry Total Returns:

Notice the strong year-to-year mean reversion for Biotechs and Pharmaceuticals from 2015 (green) to 2016 (red) near the top of the table and for Energy stocks in 2015 (red) to 2016 (green) near the bottom of the table...

Heading into 2017, we might expect to see some mean reversion from the 2016 extremes such as Financials, Energy and Health Care. And here is a deeper dive into Health Care...

As we mentioned in Part I of this report, the worst performers this year are often the best performers next year, and vice-verse. Here's a more detailed look at what has (and what has not) been working so far in 2016, and our views on what might deliver the best and worst performance in 2017, as well as how we are positioning our current holdings.